How to Choose a General Contractor: Questions to Ask First
Everyone has heard horror stories about shady contractors, or renovation projects gone wrong. So, in order to protect yourself against these nightmare scenarios, one of the best things that you, as a homeowner, can do is follow a thorough selection process when choosing which contractor to work with. Choosing the right contractor for your project is crucial to its success and can significantly impact both how stressful the process is, and ultimately, the overall quality of the final product.
At Eagleview, we work with homeowners across Kitchener, Waterloo, Cambridge and Guelph. The questions below are the ones we hear most often from potential clients when choosing who to trust with their home.
As a General Contractor ourselves, we’re likely biased about what makes a good contractor; however, we’re also well positioned to see what works and what doesn’t. At Eagleview, we’re obsessed with ensuring that our clients have a great renovation experience, and we work hard to make that a reality. Despite there being other amazing contractors out there who share that same goal, every year, we receive calls from homeowners who are stressed out beyond belief and in the throes of a dispute with their contractor. Many times, they have had to fire their contractor and are looking for assistance to get things back on track. While we endeavour to assist these folks, it often quickly becomes obvious that there were many red flags that were ignored early on, and had they been paid attention to, could have avoided a lot of pain and suffering.
So, here’s our best effort to summarize what you can do to confidently choose a fantastic contractor for your project:
What Should I Look for When Choosing a General Contractor?
In our view, the essentials are proof of insurance, a written contract, verifiable local references, a clear process, and the right trade credentials for the work (for example, ESA for electrical). In Ontario, renovators are not licensed in the same way new-home builders are, so paperwork and a real track record matter more than a single provincial “license.”
- Begin by defining the intent of your project and what problems you are looking to solve.
- Set a budget. When heading into a renovation, know that you own your budget and stick to what you are comfortable paying for on a project. Any contractor should be respectful of that and take staying within those parameters very seriously. To assist with understanding what certain types of projects cost, please read our article titled “How Much Will My Renovation Cost.” It can also be helpful to speak with a financial advisor or mortgage broker very early in the process to assist in determining what you are able to spend.
- Understand your desired timeline for when you would like the work to be started and completed.
What Makes a Contractor Reputable?
A reputable contractor is properly insured, has a real local track record, puts everything in writing, and is happy to provide references you can actually call. Memberships such as RenoMark and a clean Better Business Bureau file are useful signals, but they are not a substitute for checking past work and speaking with past clients.
- Find out what type of contractor you need. To do so, please see our article on that.
- Gather recommendations from friends and family. Another source is finding contractors with high reviews and ratings online.
What Questions Should I Ask a Contractor Before Hiring Them?
Ask about insurance and WSIB status, who will actually be on site, the timeline, the payment schedule (including HST), the warranty, how they handle unexpected problems, and who they use as subcontractors. A reputable contractor will welcome these questions rather than rush past them.
- Ask about their process (hint: if a contractor doesn’t follow a set process or is willing to change their process based on your demands, that’s a red flag)
- For design and build contractors, they should be able to clearly outline both the design process as well as the build portion of the project
- Ask about their experience with similar projects (e.g. similar sized projects and similar aged properties, etc.). Or even ask to see examples of their past work.
- Reputable contractors are very proud of their past projects and happy to show them off!
- Ask for references and check online reviews. A reputable contractor should be more than happy to provide you with past clients who can share their experiences.
- Ask about insurance and warranties. A reputable contractor will be able to easily summarize their insurance coverages and even provide a Certificate of Insurance if requested.
- Ask about who they use as subcontractors and how long they’ve worked with their trade partners.
- A general contractor’s sub trades are integral to a project's success. A general contractor’s ability to maintain longstanding relationships with excellent trades is typically a strong indication that they are a competent contractor.
- A general contractor’s sub trades are integral to a project's success. A general contractor’s ability to maintain longstanding relationships with excellent trades is typically a strong indication that they are a competent contractor.
- Ask about affiliations and organizations that they are a part of. Organizations such as the Better Business Bureau and RenoMark require members to adhere to strict codes of conduct and provide proof that they are in conformity.
What Insurance Should a General Contractor Carry?
A reputable contractor should carry commercial general liability insurance and be able to easily summarize their coverage and provide a current Certificate of Insurance if requested.
Before work starts, ask for that certificate and confirm the policy is still in force. Liability coverage is intended to respond if third parties are injured or property is damaged because of the work, and many Ontario municipalities also want proof of insurance before they issue building permits. If a contractor cannot produce a certificate quickly, that is a red flag worth paying attention to.
It is also wise to speak with your own insurance broker. Major renovations can affect a home policy, and standard home insurance does not always cover the dwelling during construction the way a contractor’s commercial liability policy covers the builder. Letting your insurer know what work is planned can prevent surprises later.
Does My Contractor Need WSIB Coverage in Ontario?
The short answer is that it depends on the work and how the contractor is set up, but we still recommend asking for a WSIB Clearance Certificate before work begins. A reputable contractor will not be put off by that request.
WSIB is Ontario’s workplace injury insurance, and coverage is compulsory in much of the construction industry. There is a home renovation exemption when a resident or occupant of a private home (or a member of their family) hires and pays a contractor for renovation work only. In that situation, a clearance certificate is not always required by law. The exemption does not apply in the same way to rental flips, new builds, or work hired by a landlord or non-resident owner.
Even where the home renovation exemption may apply, contractors who employ workers generally still need WSIB for those workers. If someone is hurt on your property and the contractor is not in good standing, you can be left exposed. Asking for a current Clearance Certificate and keeping a copy with your project paperwork is one of the simplest ways to protect yourself.
What Kind of Warranty Should I Expect?
You should expect a written workmanship warranty from your contractor, on top of any manufacturer warranties on materials and fixtures.
Unlike most new freehold homes, renovation work is not covered by Tarion, so your protection is whatever is written into the contract. Ask what is covered, for how long, who handles call-backs, and how manufacturer warranties are transferred to you. A reputable contractor will be able to summarize this clearly, rather than relying on a verbal promise alone.
What Happens if Something Unexpected Comes Up Mid-project?
A reputable contractor will tell you early, explain the options in writing, and get your sign-off before doing any extra work, so you are not surprised by invoices after the fact.
Renovations sometimes uncover issues that could not be seen at the start, such as wiring, structure, or moisture problems. The process we recommend is a written change order that clearly outlines what has changed, what it costs, how it affects the timeline, and your approval before work continues. If a contractor bills you after the fact for unapproved extras, that is a problem worth taking seriously.
How Do I Protect Myself When Hiring a Contractor?
Get everything in writing: scope, price (with HST clearly called out), timeline, payment schedule, and warranty, and never pay the full amount up front.
- A reputable contractor should put everything into writing that will clearly outline what they will be delivering, how you will pay for it, timelines that you can expect, and any other details that are pertinent to your project.
Before you sign, we recommend having the following in hand:
- Signed contract (scope, price with HST, timeline, payment schedule)
- Certificate of Insurance (commercial general liability)
- WSIB Clearance Certificate (ask even if the home renovation exemption may apply)
- Written warranty terms
- References you can call
- Permit responsibilities (who applies, who pays, and with which municipality)
- HST number on invoices (contractors over the small-supplier threshold must register)
Making a Selection
- In addition to everything above, it’s also important to ensure that communication style, professionalism and values of a potential contractor are in alignment with yours. Renovation projects are typically long-term relationships, so it’s critical that you will enjoy who you’re working with.
- Don’t just base your decision on price. There are so many aspects of a project that add value to a project than simply the initial price.
Frequently Asked Questions
What Should I Look for When Choosing a General Contractor?
Look for proof of insurance, a written contract, verifiable local references, a clear process, and the right trade credentials for the work. In Ontario, renovators are not licensed the same way new-home builders are, so paperwork and track record matter. Begin by defining your project goals, budget, and timeline.
What Makes a Contractor Reputable?
A reputable contractor is properly insured, has a real local track record, puts everything in writing, and is happy to provide references you can actually call. Check reviews and speak with past clients before you sign.
What Questions Should I Ask a Contractor Before Hiring?
Ask about insurance and WSIB, who will be on site, the timeline, the payment schedule including HST, the warranty, how they handle unexpected problems, and who they use as subcontractors.
What Insurance Should a General Contractor Carry?
Commercial general liability insurance, with a current Certificate of Insurance you can review before work begins. It is also wise to tell your own home insurer about the renovation.
Does a Contractor Need WSIB Coverage in Ontario?
Often yes if they have workers, though pure home renovations hired by a resident can fall under a WSIB exemption from mandatory clearances. We still recommend asking for a Clearance Certificate so you know the company is in good standing when coverage applies.
What Warranty Should I Expect From a Contractor?
A written workmanship warranty from the contractor, plus manufacturer warranties on materials. Renovation work is not covered by Tarion the way most new freehold homes are, so the contract is your main protection.
How Do I Protect Myself When Hiring a Contractor?
Get everything in writing, including scope, price with HST, timeline, payment schedule, and warranty, and never pay the full amount up front. Keep copies of the Certificate of Insurance, WSIB clearance if provided, and the signed contract.
Planning a Renovation or Addition in the Waterloo Region?
If you are planning a renovation or addition in Kitchener, Waterloo, Cambridge or Guelph, we would be happy to walk through these questions with you and show you the paperwork that sits behind a well-run project.